GREEN BANKING: NEED OF THE HOUR

The present epoch of globalisation and economic progress has added lot of comforts and luxuries to human life. But it has also lead to an alarming situation, enormous loss of bio-diversity, climate change and environmental damage. Presently all the sectors in the world economy are facing huge becalls to deal with environmental problems. Banking activities are not directly related to the environment but the external impact of their customer activities is substantial. All the sectors of the world economy have started revamp their activities to ensure the protection of our rich natural resources and environment. The banks can play an important role in promoting environmental sustainability. In an emerging economy like India, environmental management is the need of the hour. Green banking means environmental practices and reducing external carbon emissions and external emissions. This may be done in many forms such as- using online banking, financing green technology and pollution reducing projects. In the present paper the concept of green banking has been discussed in detail. The paper also highlights the benefits, products and challenges of green banking in the present times.